Revenue Performance - Revenue from distribution business increased by approximately HKD 24.8 million to about HKD 269.1 million for the year ended March 31, 2024, accounting for approximately 51.7% of the group's total revenue[1]. - For the fiscal year ending March 31, 2024, the group's performance significantly improved compared to the previous year, driven by the recovery of the Hong Kong economy from COVID-19[20]. - The group generated total revenue of HKD 520.8 million in FY2024, compared to HKD 486.8 million in FY2023, reflecting a growth in sales[82]. - The retail business revenue was HKD 251.7 million, up HKD 9.2 million or 3.8% from HKD 242.5 million in the previous year[20]. - The distribution business generated revenue of approximately HKD 269.1 million, up from approximately HKD 244.3 million in 2023, representing an increase of about HKD 24.8 million and accounting for approximately 51.7% of total revenue for the fiscal year 2024[123]. - The retail business revenue increased by approximately HKD 9.2 million to about HKD 251.7 million for the fiscal year ending March 31, 2024, compared to approximately HKD 242.5 million in 2023, driven by the post-pandemic economic recovery in Hong Kong[133]. Profitability - Gross profit for the year ended March 31, 2024, was approximately HKD 121.9 million, an increase of about 16.0% from approximately HKD 105.1 million in 2023, with a gross margin increase to approximately 23.4%[3]. - The net profit for the year ended March 31, 2024, rose by approximately 20.9% to about HKD 33.6 million from HKD 27.8 million in the previous year, with a net profit margin of approximately 6.7%[110]. - Basic earnings per share increased to HKD 8.40 in 2024 from HKD 6.94 in 2023, reflecting a growth of approximately 20.9%[65]. - The attributable profit for FY2024 is approximately HKD 33.6 million, up by about HKD 5.8 million or 20.9% compared to FY2023[76]. - The operating profit for the fiscal year was HKD 42.4 million, an increase from HKD 35.9 million in the previous year[187]. Expenses and Costs - Cost of sales for the year ended March 31, 2024, was approximately HKD 398.9 million, an increase of about 4.5% compared to approximately HKD 381.7 million in the same period of 2023, representing about 76.6% of total revenue[2]. - Selling and distribution expenses for the year ended March 31, 2024, were approximately HKD 38.4 million, an increase of about 6.4% from approximately HKD 36.1 million in the same period of 2023[4]. - Administrative expenses for the year ended March 31, 2024, were approximately HKD 42.0 million, a decrease of about 1.4% from approximately HKD 42.6 million in 2023[5]. - The group recognized a total of HKD 479,337,000 in expenses for 2024, up from HKD 460,368,000 in 2023, representing an increase of approximately 4.1%[62]. Financial Position - As of March 31, 2024, the group had cash and bank deposits of approximately HKD 50.6 million, down from approximately HKD 76.4 million in 2023, with a debt-to-equity ratio of approximately 26.6%[8]. - Total assets as of March 31, 2024, were HKD 267,254 million, slightly down from HKD 267,673 million in the previous year[23]. - Total equity increased to HKD 162,567 million from HKD 148,687 million in the previous year[23]. - Total segment assets amounted to HKD 174,472,000, with distribution business assets at HKD 92,327,000 and retail business assets at HKD 82,145,000[55]. - Total segment liabilities decreased to HKD 97,291,000 in 2024 from HKD 108,528,000 in 2023, with distribution liabilities at HKD 25,321,000 and retail liabilities at HKD 71,970,000[56]. Market Challenges and Strategies - The group continues to face challenges in the Hong Kong retail market, particularly in the tea beverage sector, due to intense competition and consumer spending pressures[15][16]. - The group is actively monitoring foreign exchange risks related to currency fluctuations, particularly involving the Japanese Yen, New Taiwan Dollar, and US Dollar[9][14]. - The group continues to prioritize marketing existing products while actively sourcing new quality products globally to leverage opportunities from the economic recovery in Hong Kong[40]. - The retail business is expected to face challenges due to soft consumer sentiment, prompting the group to develop a comprehensive sales and marketing plan to stimulate consumer interest[131]. - The group plans to optimize its cost structure and business model by reviewing lease agreements and controlling operating costs, including labor and rental expenses[131]. Dividends and Shareholder Returns - The group declared a dividend of HKD 10,000,000, maintaining a dividend of HKD 2.5 per share for both 2024 and 2023[67]. - The company plans to declare a final dividend of HKD 3.0 per share for the fiscal year, compared to HKD 2.5 per share in the previous year, resulting in a total payout ratio of approximately 65.3%[184]. Employee and Operational Metrics - The group employed 714 employees as of March 31, 2024, an increase from 692 employees in 2023, reflecting a 3.2% growth in workforce[142]. - The average same-store sales growth for the "Ten Ren Tea" retail stores was 8.4% for the fiscal year 2024, with average sales per store increasing to HKD 3.76 million[127]. - The group operates 63 self-operated retail stores as of March 31, 2024, focusing on marketing and product development to increase revenue and market share[125]. Legal and Compliance Issues - The company is currently involved in litigation related to quality issues with suppliers, with potential estimated losses of approximately HKD 17.9 million if the litigation is unsuccessful[100]. - The group has implemented new accounting standards and amendments, which are not expected to have a significant impact on the current or future periods[28].
宾仕国际(01705) - 2024 - 年度业绩